Study: Solano County (CA) has one of highest foreclosure rates (in US)

[UpInArms]

http://www.timesheraldonline.com/ci_4879160

Solano County has among the highest projected foreclosure rates in the United States, according to a report released Tuesday.

The Washington, D.C.-based Center for Responsible Lending, reports what's shaping up to be "one of the worst foreclosure crises in American history," according to the study.

Center researchers said subprime mortgages - the loans requiring "creative financing" - signed between 1998 and 2006, will wipe out billions in low-income and minority wealth as people locked into loans of questionable soundness, find themselves unable to make their payments.

Some local mortgage experts blame a combination of uninformed consumers, a declining real estate market, creative financing and unscrupulous mortgage lenders.

"The consumer is an idiot," Mitchell Chernock of Benicia's Sky Valley Financial said of those who accept unconventional mortgages without doing their homework first. "There is also out-and-out fraud against consumers by some mortgage and real estate professionals."

...more...

[DaveJ]

1. Ruining peoples credit is a booming industry these days

n/t

[David__77]

2. Right in my area.

Before this outrageous "boom" in prices, I decided to stay in my condo with a 15-year fixed. Everywhere now 40-year is "conventional." Soon, these other mortgage types will be "conventional" too. No one will gain any equity at all.

[natrat]

3. and fuckanaaa 20 miles west in SF houses still cost 2 million nt

[MadMaddie]

4. Yes....blame the consumer....(don't get me wrong )

the consumers should have done more research but when you have salesman telling you a small fraction of the information you need...just sayin..

[Gormy Cuss]

5. This is the scariest stat

" • One of five subprime mortgages originated during the past two years will end in foreclosure.
Source: Center for Responsible Lending."

[Egnever]

6. This part is what we have to look forward to.

"Out of control mortgage payments, when people's adjustable mortgages rise significantly, will wreak havoc on the economy," Chernock said. "Consumers drive the economy, and if they're spending all their income on their mortgage, they're not contributing to the economy."




Joy...

[SpiralHawk]

7. I blame BushCo and the republicons

They are corrupt and avaricious. They set this shit up, and they reap the mega profits.

Typical republicon shit. Merry frikkin Christmas.